Suedzucker Q3 result from operations declines; but lifts FY revenues outlook

17-Jan-2018 - Germany

German sugar producer Suedzucker AG (SUEZF.PK) reported that its result from operations for the third-quarter declined to 86 million euros from 133 million euros in the prior year.

But, quarterly revenue for the third-quarter rose to 1.81 billion euros from 1.70 billion euros in the prior year.

Consolidated group revenues for the first three quarters of fiscal 2017/18 increased to 5.30 billion euros from last year's 4.91 billion euros, while operating result rose to 384 million euros from 327 million euros in the prior year.

The sugar and CropEnergies segments were the main contributors to the higher revenues. The special products segment's revenues also rose slightly, while the fruit segment's were the same as last year. This operating result improvement was mainly attributable to the sugar segment, but the fruit segment also contributed. The CropEnergies segment's operating result remained at the previous year's level. The special products segment was, as anticipated, unable to match last year's elevated result.

Group revenues for the entire fiscal year 2017/18 are now expected to reach between 6.9 billion euros and 7.1 billion euros, compared to the previous forecast of 6.7 billion euros - 7.0 billion euros. Revenue growth should be moderate in the sugar and special products segments and marginal in the fruit segment. The revenue forecast in the CropEnergies segment is in the range of 800 million euros to 840 million euros. Operating result is still expected to come in at between 425 million euros and 500 million euros.

The significant increase of results in the sugar segment stands in contrast with a sharp decline in the special products segment after the record year 2016/17. Revenues in the CropEnergies segment are now expected to range between 65 million euros and 85 million euros, compared to the previous forecast of 60 million euros to 90 million euros. A year-over-year increase is expected in the fruit segment. (dpa)

https://www.yumda.com/en/news/1152922/suedzucker-q3-result-from-operations-declines-but-lifts-fy-revenues-outlook.html